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Chronicles

The story behind the story

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Microsoft, SAP, and Adobe announce an Open Data Initiative to bring data across all of their platforms into one package running on Azure

Industry leaders team up to help customers connect data across their organizations, find powerful insights and deliver intelligent services with AI

Microsoft

Context & Ripple Effects

The Open Data Initiative is the capstone of a three-year courtship: Adobe first named Azure its preferred cloud in 2016, Microsoft and SAP followed with Office 365 integrations and HANA on Azure, and Microsoft and Adobe deepened the tie with cross-cloud productivity integrations in 2017. What was previously a set of bilateral product integrations now becomes a shared data layer spanning all three platforms, hosted on Microsoft's infrastructure.

That hosting detail is the story inside the story: three nominally equal partners are unifying their customers' data in a package that runs exclusively on Azure, giving Microsoft structural ownership of the substrate while SAP and Adobe contribute their enterprise footprints.

First-order effects

  • Joint customers of Microsoft, SAP, and Adobe get a single connected view of data that previously sat siloed across Dynamics/Office, S/4HANA, and Experience Cloud — with AI insight services positioned as the payoff.
  • Azure becomes the default landing zone for SAP and Adobe workloads tied to the initiative, converting those vendors' installed bases into Azure consumption.

Second-order effects

  • Rival enterprise stacks — Salesforce, Oracle, AWS — face pressure to answer with equivalent cross-vendor data alliances of their own, since a unified data model is now a selling point rather than an integration project.
  • The partner ecosystem organizes around the initiative: within six months Microsoft, Adobe, and SAP added WPP, Sprinklr, and ten more partners (the 2019 expansion), pulling agencies and martech vendors onto the same Azure-hosted data fabric.

Third-order effects

  • If the pattern holds, the integration layer becomes the profit pool: whoever hosts the shared data model controls which AI services reach the enterprise, a logic visible later in Nadella's plan to wire OpenAI's tools through every Microsoft product and in SAP's move to own its own lakehouse via the Dremio acquisition.
  • Multi-vendor 'open' data initiatives risk resolving into single-cloud dependency — openness at the schema level, concentration at the infrastructure level — a tension regulators and CIOs will increasingly have to price in.

The trend: Enterprise software vendors are consolidating around shared data layers hosted by one hyperscaler, turning partnership announcements into long-run platform gravity for AI services.